With the recent slowdown in the housing market and the overall economy, we have seen a decrease in the number of million dollar homes throughout the country. In fact, the share of U.S. homes worth $1 million dollars or more fell from 8.6% in June 2022 to just over 7% in January 2023. Of course, the share of million dollar homes is still above the 4.2% that we saw prior to the pandemic.
As for Florida, we have actually seen an increase in the share of million dollar homes. With continued inbound migration patterns into The Sunshine State, we are still seeing persistent demand for housing. While rising mortgage interest rates have put downward pressure on home prices throughout the country, Florida’s home prices have proven to be more resilient.
Top 5 metros for an increase in million dollar homes
- Miami, FL: Roughly 1 in 7 (14.4%) of Miami homes are worth at least $1 million, up from 11.5% a year ago. This is the biggest increase of the metros analyzed.
- North Port, FL: 11.3%, up from 9.1%
- Anaheim, CA: 54.2%, up from 52.2%
- Nashville, TN: 8.4%, up from 6.4%
- West Palm Beach, FL: 12.8%, up from 11.1%
Summary
Florida was home to 6 of the 10 metros with the biggest home-value increases last year. This should not be surprising as we continue to see growing demand from Americans looking to relocate from more expensive states. In addition, out-of-town remote workers continue to choose Florida as their ultimate destination. While home values can not continue to rise forever, many expect values to remain more protected in Florida as compared to most other states in the country.
Are you thinking about investing in South Florida real estate? We can help! Contact our friendly team at Live South Florida Realty, Inc. today! Also, be sure to download our comprehensive Florida Home Search app for your mobile device as well.
